ASIA NEWS NETWORK
WE KNOW ASIA BETTER
Vietnamese firms expand overseas stakes to US$4.4b
Publication Date : 11-02-2014
Vietnam's enterprises have invested US$4.4 billion in foreign countries and territories in 2013, according to the Ministry of Planning and Investment.
The ministry last year granted investment licences for 117 projects of domestic companies. These projects were scattered over 24 territories and countries throughout the world.
Also, total investments of $4.4 billion were higher than the $1.546 billion in 2012, reported the Dau tu (Vietnam Investment Review) newspaper.
In December 2013, Vinamilk bought a 70 per cent stake in Drifwood Dairy, a US dairy company, with a total investment of $7 million, to expand its foreign markets.
Also in December 2013, Vinamilk, one of the large domestic dairy companies, had increased its investment in Miraka Limited Company of New Zealand from NZ$12.5 million (US$10.3 million) to NZ$14.42 million (US$11.9 million), purchasing 19.3 per cent of the shares at the company, to open one additional pasteurized fresh milk production line.
This year, the company has received an investment licence to set up a joint venture worth $23 million with Angkor Dairy Production Company Limited in Cambodia, including 51 per cent of the joint venture's capital.
Also this year, Viettel plans to invest in Burundi. If the plan is successfully implemented, Viettel will have investments in seven countries.
Meanwhile, FPT has now invested in 17 countries, 15 years after beginning their overseas investments.
Truong Gia Binh, chairman of FPT, stated that the company has implemented its globalisation plan through two strategies. One strategy is to provide technological services to customers in countries such as Singapore, Malaysia, Japan and the United States, and the other is to provide services that are popular in Vietnam to similar markets, including Laos, Cambodia and Myanmar.
Many other local firms have invested overseas, including PetroVietnam, Hoang Anh Gia Lai, Vietnam Rubber Corporation and Gemadept. The Xuan Thanh Group also has investments in foreign countries and territories.